Shell hires JM Morgan Stanley to evaluate IBP

Kolkata, Nov 20: Leading investment banker JM Morgan Stanley, is engaged in the valuation of IBP for Dutch multinational Shell, a senior official said. The vice-chairman of JM Morgan Stanley, Naina Lal Kidwai said that the main strength of IBP was its marketing network.
The investment banker said that as the guidelines under the new administered price mechanism had been already issued, it would now become easier for JM Morgan Stanley to correctly evaluate IBP.

Shell, along with several foreign and domestic oil companies including IndianOil Corporation, had expressed serious interest in picking up 33 per cent stake in the oil marketing PSU. Ms Kidwai, however declined to give the broad range within which the value of IBP’s share would emerge. Besides IBP, JM Morgan Stanley is also engaged in the PSU disinvestment process from the buyers’ side. Once the financial bids for IBP were invited by the Centre, Shell would respond to them, Ms Kidwai said. Earlier, Union Minister for Disinvestment Arun Shourie, said that the financial bids for IBP would be invited shortly, but did not mention the exact period.

— PTI